Rand formula
In Canadian labour law, the Rand formula (also referred to as automatic check-off and compulsory checkoff) is a workplace compromise arising from jurisprudence struck between organized labour (trade unions) and employers that guarantees employers industrial stability by requiring all workers affected by a collective agreement to pay dues to the union by mandatory deduction in exchange for the union agreement to "work now, grieve later." Historically, in some workplaces, some workers refused to pay dues to the union even after benefiting from wage and benefit improvements negotiated by the union representatives, resulting in friction and violence as they were seen as "freeloaders"; at the same time, absence of a peaceful grievance settlement mechanism created industrial instability as union members often walked off the job. The Rand formula compromise was designed to ensure that no employee will opt out of the union simply to avoid dues yet reap the benefits of collective bargaining, such as higher wages or health insurance.